BlackRock’s iShares Bitcoin Trust is now the largest Bitcoin investment fund in the world, surpassing $19 billion in assets.
It thus surpasses the other main Bitcoin investment fund, Grayscale.
A very tight competition
BlackRock’s iShares Bitcoin Trust, or IBIT, exceeds Grayscale’s Bitcoin Trust. It becomes by itself the largest Bitcoin fund in the world.
Indeed, the assets of the iShares Bitcoin Trust amounted to nearly $19.68 billion at the end of May this year. Grayscale, meanwhile, was only slightly behind, peaking at $19.65 billion over the same period.
This result was achieved through regular investments in BlackRock’s funds. Furthermore, these different investments have proven to be successful.
In fact, Bitcoin has experienced some good performances since the beginning of the year.
These performances have allowed BlackRock to accumulate more than $102 million to date. On the other hand, Grayscale recorded a net outflow of approximately $105 million.
It seems that the timing of purchases and sales by BlackRock was better anticipated than that of its competitor.
The iShares Bitcoin Trust fund has collected more than $16 billion since its creation. These funds have notably helped to support growth and profitability of companies through mergers and acquisitions.
Investors choose BlackRock in particular because their fees are lower. Furthermore, the latter is a facilitator in terms of market access.
Participation appreciated by the community
The approval of Bitcoin ETFs by the SEC (Securities and Exchange Commission) such as BlackRock or Fidelity Investments has clearly marked a turning point in the cryptocurrency market.
These entities held between 2 and 5% of all circulating Bitcoins when they started operating on January 11, 2024. This noted presence contributes to their popularity within the crypto community.
Furthermore, another piece of good news for the crypto world, the SEC unexpectedly began approving ETFs for Ethereum in late May 2024.
Despite this, the agency led by Gary Gensler remains cautious towards the cryptocurrency sector due to recent scandals such as the one experienced by Binance.
